Our approach is to provide clients an extraordinarily rare combination of efficiency and deep insights. We accomplish this in two ways. One is leveraging the operating and vertical expertise of our project leads to set an effective scope of analysis and data collection methodology. Another is using our firm’s highly specialized providers with capabilities in big data analytics.
The intent of our analysis is not to merely collect data. It is also to dis-aggregate an ecosystem by product, category, channel, use case, technology, business model —to determine where the value is today and where it will be over the planning horizon.
Offering your company unsurpassed breadth and depth of expertise.
Our specific expertise comprises addressable market sizing and trends, customer insights, competitive dynamics and channel assessment. Many projects begin with a highly customized fact base. We then integrate the quantitative analytics with our team’s and our client’s qualitative insights to establish an aligned view of the situation from multiple perspectives:
Consumer behavior and demand in existing and emerging product categories or industry verticals by segment, channel or other relevant categorizations
- BUSINESS MODELING
Physical products and the services tied to them have become indistinguishable. There are too many variables and go-to-market alternatives. As a result, the challenge of identifying a winning business model or determining the lifetime value of an opportunity is increasing.
Sprosty Network’s operating experience and market analytics help cut through the noise so you can make decisions based on both current realities and long-term opportunities.
Offering a unique approach with a great depth of experience.
Our retail-back approach starts with identifying which components of the value proposition are critical in delivering on a particular business model. Then we work backwards from go-to-market channel economics through the supply chain, and forward to product and service development. Our expertise in developing business models helps leaders of companies in various stages of development understand complex business decisions and identify alternatives.
Our unique approach to business modeling enables our team of expert operators create business cases and mitigate risk for startup and new product or service initiatives. We create business models that reflect our clients’ unique circumstances, as well as the economic and operating assumptions that drive the results. To do so, we combine our three core strengths:
- Deep vertical expertise
- Broad economic modeling capabilities
- Highly specialized data analytics capabilities
Focusing on the right information.
The consumer is at the center of any business model. It is imperative that you test alternatives with customers and not experiment on them.
Leaders today make many business model decisions based on an early glimpse of success, without the necessary validation. As a retailer, a service provider or product manufacturer, the cost of getting it wrong is too great.
Pursuing a model based on lifetime value.
The source of value for many of the most successful products in the connected ecosystem is no longer transactional. Instead, success stems from the lifetime value the products provide to participants across the value chain. This ranges from production and distribution through to the subscriptions or services those products enable.
Sprosty Network works with our clients to identify value pools across the entire value chain. We overlay decision support tools, including industry and big data analytics, along our vertical market expertise to develop winning business models.
Our business models expertise includes:
- Telecom and MVNO (mobile virtual network operator) services
- Subscription service businesses
- Negotiation support for complex agreements
- Retail go-to-market and new retail product categories
- New retail store models
- Build-buy-ally analyses
- Private label vs. OEM brands
Developing a retail go-to-market strategy is critical to a company’s success. Despite that, many firms fail to develop an on-purpose channel strategy and launch plan that:
- Reduces time to market
- Maximizes growth
- Minimizes risk
Using our expertise and experience to explore your options.
Our expertise begins in the exploration phase. We start by exploring the go-to-market options, which include the most common “play” of putting products on a retailer’s shelf. It also includes private label and OEM/brand, along with B2B2C channels and partnerships. In many cases, firms fail to capitalize on direct relationships with retail private-label business groups, as well as the many assets that an OEM/multi-national brand partnership can bring to a blended go-to-market strategy. For many, the indirect channel options (B2B2C) can offer fabulous complements to a broad retail strategy, allowing for “micro-targeting” of specific customer bases.
Devising a thorough, de-risked launch plan.
Once the product brand partnership options are clear, it is critical to build an on-purpose launch sequence as part of a multi-year channel plan. By way of example, you could:
- Start with an early-stage Kickstarter campaign
- Move to subsequent marketplace listings in Amazon
- Followed by on-purpose, retailer-specific strategies
Following a launch sequence like the one above leverages each retailer’s specific strengths, optimizes each channel, and ensures that decisions with one channel do not prohibit relationships with another. Pricing management, exclusive SKUs, retailer-specific merchandising, and unique promotions are part of the mix that we help tune to maximize the relationship with each and every channel.
Finally, to de-risk your company’s growth, we develop a clear “walk before you run” sequence of launch steps to ensure that hardware companies in particular don’t “bet the farm” on a high-risk launch. Techniques we employ range from live testing of products with customers at retail, assorting online and in-test markets for small-scale feedback, and ensuring that retailer and customer feedback “green lights” a launch prior to broad distribution.
From channel strategy to channel execution, we help companies win with and through distribution.
- CHANNEL MANAGEMENT
Detailed channel management that builds on an on-purpose, go-to-market strategy starts with a buyer connection. You must present your product or solution in a context that recognizes that “the shelves are already full” (at least in physical retail). Your product must also have the ability to earn its keep in a category assortment that brings additional value to retailers. And the value must cover both today and, by way of future product road maps, tomorrow.
Expediting the upfront process to get your product launch underway.
When this “retail relevant” positioning gets a “yes” reaction from the buyer, the real work begins. We provide the experience and face-to-face contact with the retailer to expedite:
Establishing an electronic data connection to the retailer.
We work to complete this process as quickly and efficiently as possible so you can move on to product shipment, merchandising and sales.
Providing you with qualified market insight.
Our market insight helps in negotiating average selling prices, product margins, and retailer margins. It also provides you the foundation on which to build marketing awareness through retailer-specific and independent marketing plans. This all comes together in regular buyer meetings to manage and grow your business.
Supporting your brand at all times
We also ensure that you are ready with required call center and reverse logistics support as your products sell. Our goal will be to ensure you drive a great consumer experience, thereby building your brand and minimizing customer disappointments and product returns.
- CUSTOMER INSIGHTS
At Sprosty Network, we are constantly seeking out the latest in research tools, resources and partnerships to bring a robust portfolio of offerings to our clients. This approach allows us to select the consumer research techniques needed to fuel our clients’ growth.
Providing in-depth insight for improved performance.
Monitoring product category and individual product performance in the emerging Smart Home industry is difficult at best. We provide clients with tailor-made, real-time insights on emerging categories, brands and products to guide decision making. We gather information from ratings/review sites, blogs and social networking sites. We then synthesize that data into client dashboards on a weekly, monthly and quarterly basis.
For product managers, our methodology complements more traditional research methods such as customer focus groups, ethnographic studies and product research. All of these have their place in the product commercialization process. Our techniques raise the level of competitive and consumer insights available, allowing product managers to tune their product specs for maximum customer and market impact.
For retail buyers, our methodology surfaces hot, new innovative products that could otherwise go unnoticed. It also identifies products that are failing in the market. We provide facts where facts are scarce to help drive an assortment plan in this emerging Smart Home world.
This emerging category methodology is in addition to our comprehensive research portfolio, which includes traditional research tools. It gives our clients a competitive edge to win in the market.
Pinpointing the true voice of the customer.
While we leverage the voice of the customer organically via social intelligence, there are instances when pre-market concepts require consumer input using more traditional customer research. For this, we incorporate data from our rich network of research resources to help our clients uncover insights into the market’s perception of new ideas. This data includes:
- Focus groups
- Web panels
- Mobile studies
- Concept screenings
Lastly, we work with those at the front line of retail—store employees and customer support, who interact with customers every day. Identifying the voice of the customer in this way allows us to discover opportunities, remove hurdles to purchase and build growth strategies with the channel in mind.
Our focus is key IoT verticals
Fitness | Chronic Care
Personal Emergency Response System
Aging in Place
Wearables | mHealth
Consumer / SMB Mobility
Machine to Machine (M2M)
User Based Insurance